What began as a routine legislative exercise has spiralled into a bruising institutional dispute.
It has pitted political caucuses against parliamentary procedure, with troubling questions raised about the integrity of the law-making process.
At the centre of the storm are four newly enacted tax reform laws that were passed by the National Assembly, signed by the President, gazetted, and certified, yet are now mired in allegations of post-passage alterations.
Yesterday, the House of Representatives moved decisively to contain the growing controversy, formally disowning an interim report produced by an ad-hoc committee constituted by the House Minority Caucus to probe the alleged alterations.
Ogene, a journalist, made available the interim report by the minority caucus committee on Friday.
The report claims that there were alterations in the gazette, contrary to what the House passed.
The House declared that the committee was procedurally invalid and lacked the authority to conduct investigations or submit reports for legislative consideration.
The House rejected outright the findings of the minority caucus.
According to the House, only the plenary or the Speaker has the constitutional and procedural authority to constitute standing or ad-hoc committees to conduct investigations on behalf of the legislature.
Political caucuses, whether majority or minority, do not possess such powers, and any committee set up by them lacks institutional recognition, the House insisted.
It made this known through a statement by spokesman, Akintunde Rotimi, which said: “The setting up of such a committee is not recognised under the Standing Orders of the House.
“Neither the Majority nor Minority Caucus, nor any political caucus, has the authority to constitute investigative committees whose reports can be tabled before the House for legislative action.”
The House warned that reports emanating from such informal bodies had the potential to mislead the public and create unnecessary confusion, especially in a matter as sensitive as alleged alterations to laws already enacted and signed by the President.
The statement noted that the House had already established a properly constituted, bipartisan ad-hoc committee to investigate the allegations, rendering any parallel caucus-led inquiry unnecessary and improper.
Clarifying its position, the House said: “While the House recognises the legitimate role of the Minority Caucus within parliamentary democracy and affirms its right to express dissenting opinions, engage in policy advocacy, and raise public concerns, it is necessary to clearly distinguish between political activities and the formal parliamentary processes of the House.”
Citing the Standing Orders of the House of Representatives (Eleventh Edition), the statement stressed that political caucuses do not possess investigative authority, oversight jurisdiction, or the power to summon individuals or demand official documents.
The House said: “Any action taken by a caucus in this regard is therefore non-binding, informal, and without legal or institutional consequence.”
It added that any interim or final report produced by such a body could neither be laid before the House nor form part of the official legislative or oversight record of the National Assembly.
The House further described the Minority Caucus’s action as “procedurally improper, inconsistent with parliamentary norms, liable to set an unwholesome precedent, and capable of creating public misunderstanding.”
Providing background to the controversy, the House explained that in December 2025, following the intervention of an opposition lawmaker at plenary, it constituted a bipartisan ad-hoc committee to examine allegations that multiple documents purporting to be official gazettes of the tax legislation were in circulation.
That committee, made up of members from both the ruling and opposition parties, was tasked specifically with investigating the alleged discrepancies.
The House said the committee remains in force and is expected to submit its report to the plenary upon conclusion of its assignment.
The statement added that following the investigation, the National Assembly, acting jointly through both chambers, published the official Gazette and issued Certified True Copies (CTCs) of the tax laws, thereby giving the legislative process full legal effect.
The House said: “The National Assembly has also formally disowned and debunked any unofficial documents in circulation.”
It reiterated that only the gazetted versions and duly certified copies issued by the National Assembly constitute authentic legislative instruments.
“In this context, the establishment of a parallel caucus-led committee and the circulation of purported interim findings serve only to compound public misunderstanding on an issue that has been institutionally resolved and overtaken by events,” the statement said.
Caucus rejects position of House
The Minority Caucus rejected the House leadership’s position, warning that dismissing its findings could embolden impunity and undermine legislative independence.
Ogene, Chairman of the Minority Caucus ad-hoc committee and Leader of the Labour Party Caucus, faulted the attempt to downplay his committee’s interim report, describing it as dangerous and misleading.
He was reacting to comments earlier attributed to the Deputy Spokesman of the House, Philip Agbese, who reportedly said the issue had been overtaken by events following the release of the Certified True Copies of the laws.
In a statement, Ogene said he would ordinarily have dismissed Agbese’s comments as a personal opinion, but for the sensitivity of the spokesperson’s office.
Ogene said: “My attention has been drawn to the dismissive statement by the Deputy Spokesperson of the House of Representatives, Hon. Philip Agbese, that the interim report of the Minority Caucus Ad-hoc Committee has been overtaken by events.
“Having previously served as Deputy Spokesperson of the seventh House of Representatives, I am cognisant of the responsibilities and public expectations attendant to such a position.
“I am therefore perplexed as to why he appears to be speaking on behalf of the Executive in this matter.”
Ogene insisted that the Minority Caucus report did not indict the National Assembly or question its legislative processes.
Rather, he said, it exposed attempts by external actors within the government bureaucracy to undermine the legislature by altering laws after passage.
“This should be a concern for all lawmakers who prioritise the integrity of law-making over transient political considerations,” he said.
He also questioned why the House-appointed committee, chaired by Rt. Hon. Aliyu Mukthar Betara was still sitting if the issue had truly been overtaken by events.
Ogene asked: “If the matter has been resolved, why has the Betara Committee not been dissolved?”
He warned that failure to pursue accountability could weaken democratic institutions.
The ad-hoc committee set up by the Minority Caucus of the House of Representatives to investigate alleged alterations to the four tax reform acts passed and signed by President Bola Tinubu has identified some alterations in some of the laws, especially the Nigeria Tax Administration Act 2025.
An interim report of the committee made available yesterday said while some provisions not in the original laws were gazetted, some others passed were altered in the gazetted copy.
The report signed by the Committee Chairman, Afam Victor Ogene said there are three versions of the tax laws in circulation in the country.
The report reads: “Following public outrage over allegations of discrepancies between the Tax Laws recently passed and assented to by the President and the gazetted versions, after a vigilant member of the House of Representatives, Hon. Abdulsamad Dasuki, raised the alarm on the floor of the House, concerning the circulation of an authorized version different from the one passed by the National Assembly, the Minority Caucus in a statement on December 28, 2025, vowed to “unconditionally protect the independence of the Legislature and our democracy.”
“It noted that any attempt to foist fake laws on Nigerians was an attack on the independence and constitutional role of the National Assembly in safeguarding Nigeria’s democracy.
“In furtherance of this patriotic pledge, the Minority Caucus, under the leadership of Hon. Kingsley Chinda, on January 2, 2026, set up a 7-man Fact-finding Committee, led by Hon. Afam Victor Ogene, to help the Caucus get to the roots of all the issues surrounding the scandal.
“Other members of the committee, include, Hon. Aliyu Garu – Bauchi, Hon. Stanley Adedeji – Oyo, Hon. Ibe Osonwa – Abia, Hon. Marie Ebikake – Bayelsa, Hon. MB Shehu Fagge – Kano and Hon. Gaza Gbefwi Jonathan – Nasarawa.
Pay more for what? It is a question asked quietly in market stalls and loudly on social media, whispered in offices and debated in living rooms across Nigeria and its diaspora. It cuts through official explanations, press briefings, and glossy policy documents with stubborn clarity. As the Nigerian government rolls out a sweeping new tax reform agenda, urging citizens at home and abroad to be more compliant, more attentive, and ultimately to pay more, this single question refuses to go away.
On the surface, the government’s objective sounds reasonable. Nigeria needs revenue. A growing population, coupled with a strained economy and expanding social needs, demands a more efficient and modern tax system. Few serious observers dispute this. However, what has unsettled many Nigerians is not the idea of taxation itself, but the premise that citizens should contribute more to a system that has yet to demonstrate, in clear and tangible terms, what it does with what it already collects.
This skepticism is not born of ignorance, civic laziness, or a coded appeal to evade tax. It is the voice of a population shaped by experience. Nigerians have learned, often the hard way, to be cautious when asked to sacrifice more for a country that has struggled to translate revenue into visible public value.
To be fair, the new tax law is not without merit. On paper, it is ambitious and, in some respects, progressive. It consolidates outdated statutes, broadens the tax base, introduces exemptions for low-income earners and small businesses, and seeks to modernise collection in an economy increasingly shaped by digital activity and informal labour. Without question, these objectives are defensible. Some are even necessary. But tax policy does not exist in isolation. It must be relational, and Nigeria’s central challenge is not the absence of sophisticated tax law, but the erosion of trust between the government and its citizens.
For decades, Nigerians have been told that sacrifice today will yield dividends tomorrow. Yet tomorrow has remained stubbornly out of reach. Our roads remain treacherous, electricity supply remains unreliable, public hospitals remain under-resourced, and schools, from primary to tertiary levels, struggle amid chronic underinvestment. Politicians announce record budgets, but citizens experience little more than record hardship. Year in year out, the level of suffering increases, reaching a state of fatigue. In this context, skepticism toward new tax demands is not an attempt to subvert it, but a rational civic behaviour in a system burdened by a severe trust deficit.
At this point, the debate stops being about revenue and becomes about legitimacy.
Taxation, at its core, is not merely a fiscal instrument geared towards encouraging economic activities. It is a social contract. Citizens surrender a portion of their income in exchange for security, infrastructure, and the collective goods that make social life possible. In societies where this exchange is visible and consistent, compliance follows naturally. People are willing to pay because they see reciprocity. They see what their tax naira is doing. However, where the effects are absent, enforcement steps in, often clumsily, and at great political cost.
Nigeria’s tax-to-GDP ratio, estimated at roughly 10–11 percent, is frequently cited by officials as evidence that the country is undertaxed, especially when compared to African and OECD averages. But many Nigerians see the issue differently. In their eyes, the problem is not low tax payments, but a return deficit. Taxes are collected, yet services remain scarce, uneven, or completely inaccessible. Nigerians provide for themselves basic services and infrastructure that are typically the responsibility of the government.
Individuals and businesses rely heavily on private generators for power, they sink boreholes or wells to get clean water, communities and neighbourhoods depend on local vigilance groups and neighbourhood watch for security and protection, they organise or pool resources to build or rehabilitate rural feeder roads, their major avenue for healthcare is usually private and often expensive clinics, the only reliable education they can access is private expensive schools for their children, they organise their own system of trash, solid waste, and sewage, on and on Nigerians continue to do these things for themselves with the government playing little or no role. Revenue enters the system, but its outcomes are difficult to trace in everyday life.
This disconnect explains the resistance now confronting the reform. Despite sustained media appearances by government officials attempting to clarify the law’s provisions, public acceptance has remained limited. Nigerians, by nature, are not opposed to paying taxes or paying more for anything. They have done so, directly and indirectly, since the country’s founding. What they oppose is paying into a system where money disappears into a bureaucratic fog, resurfacing only as press releases and promises. Overinflated budget figures do not count as outcomes. Appropriations are not services. Without measurable, lived impact, they are indistinguishable from waste.
The central question remains unanswered: what, exactly, should citizens point to and say, this is what our taxes built?
The danger here is not abstract or philosophical but practical and immediate. A tax system that expands enforcement without restoring legitimacy will, assuredly, invite resistance. Compliance extracted without consent will breed evasion, entrench informality, and deepen citizen withdrawal from the state. What begins as a revenue challenge can quickly metastasize into a crisis of governance. And this is what the Nigerian government doesn’t want. However, this is what they will get because history offers little mercy to governments that confuse coercion with authority.
Nigeria has seen this before. Aggressive tax collection strategies that ignore socioeconomic context tend to fall hardest on those least equipped to absorb economic shocks such as the informal traders, artisans, market women, and small-scale entrepreneurs. These groups already bear heavy indirect burdens through inflation, currency instability, and inadequate infrastructure. When they are then required to demonstrate formal compliance within a system they perceive as unreliable or unresponsive, frustration deepens.
If the government is serious about rebuilding confidence, accountability must move from rhetoric to structure. Transparency cannot remain a slogan. It must become operational. Citizens do not need more speeches about reform. They need traceability. They need to see, in plain language, where tax revenue goes and what it produces. Which roads were fixed this quarter? Which hospitals were equipped? Which schools were renovated? At what cost, and on what timeline?
Measures such as public dashboards that link revenue to specific projects, independent audits presented in accessible formats, and local service benchmarks that allow communities to track progress should be in place as part of the reform. At a minimum, these mechanisms are prerequisites for voluntary compliance in a democratic society.
Government officials often contend that accountability mechanisms are already in place. On paper, this may be accurate. Yet accountability that citizens cannot see, access, or independently verify does not garner trust; it instead fosters suspicion. In the absence of visible evidence, people default to doubt because experience has conditioned them to be cautious. Thus, the heavier burden, therefore, rests with the government. Citizens have obligations, but governments must first earn the confidence they seek to command. That confidence is built through transparent spending, verifiable results, and disciplined governance that demonstrably serves the public good.
Nigeria’s tax reform still has a chance to succeed. But success will depend on whether it repairs the broken relationship between the government and its citizens. Until that happens, the question “Pay more for what?” will continue to echo across the country. And until the government can answer it with evidence rather than assurances, reform will remain on shaky ground.
The Chairman of the Nigerian Revenue Service (NRS), Zacch Adedeji, has said the new tax laws introduced by the Federal Government are designed to simplify taxation, ease compliance, and promote prosperity for ordinary Nigerians and businesses, contrary to widespread misconceptions surrounding their implementation.
Speaking during an interview on national television on Tuesday, Adedeji addressed widespread misconceptions and apprehension surrounding the implementation of the Tax Acts, which took effect on January 1, 2026.
He described the reforms as a landmark fiscal intervention aligned with President Bola Tinubu’s vision of “taxing prosperity, not poverty.”
“There is so much misinformation around this tax law,” Adedeji said. “The intent of the reform is to harmonise tax collection, modernise administration and simplify compliance. This law is not about taxing more; it is about taxing right and fairly.”
The new framework comprises four major legislations: the Nigerian Tax Act 2025, the Nigerian Tax Administration Act 2025, the Nigerian Revenue Service Establishment Act 2025, and the Joint Revenue Board Act. According to Adedeji, the laws consolidate over 60 scattered tax legislations into a single framework, making compliance easier for businesses and individuals.
On the transition from the Federal Inland Revenue Service (FIRS) to the Nigerian Revenue Service, Adedeji said the change represents the fulfilment of a long-standing reform promise.
“For us, it is a feeling of achievement,” he said. “This reform is in fulfilment of Mr. President’s inaugural promise to remove multiple taxation and create a conducive environment for businesses to grow. We thank the President, the National Assembly and, most importantly, Nigerian taxpayers.”
Adedeji dismissed calls by some stakeholders for a suspension of the new tax laws, stressing that such demands have no place in a democratic setting.
“When a law is passed and assented to, it becomes law,” he said. “There is no provision for suspending a law except under a state of emergency or by court order. If we suspend the law, we have no legal basis to collect taxes, and no country can survive without revenue.”
Addressing criticism from consulting firm KPMG and other commentators, the NRS chairman said engagement and clarification had helped resolve initial concerns.
“We are not opposed to criticism,” he said. “This is the first major tax reform since independence, so misunderstanding is expected. After engagement, it is clear we are on the same page that this reform is necessary for sustainable growth.”
On benefits to ordinary Nigerians, Adedeji highlighted exemptions on food and transportation, noting that these account for about 90 per cent of the disposable income of low-income earners.
“For the common man, this law brings relief,” he said. “Food and transportation are exempted from transactional taxes, and low-income earners will see reduced personal income tax deductions compared to the old regime.”
He also clarified that the newly introduced development levy is not an additional tax but a consolidation of existing earmarked taxes such as education tax and the police trust fund.
“It is not a new tax,” Adedeji explained. “It is a consolidation to help businesses plan better and comply more easily.”
Reassuring Nigerians about fears surrounding bank accounts and tax clearance certificates, Adedeji said all valid certificates remain effective and that no arbitrary deductions would occur.
“Nigeria has nothing to fear,” he said. “January 1 has come and gone, and none of the rumours have materialised. This law is here to simplify processes, reduce compliance costs and support economic growth.”
He urged Nigerians to assess the new tax regime based on facts rather than rumours, adding that the ultimate goal is to grow the economy and ensure shared prosperity.
“When businesses prosper, they employ more people, and prosperity trickles down. That is the spirit and the promise of this reform,” Adedeji said.
Obasanjo, Kukah, others honour first NLC president Sunmonu at 85
How does the tax reform regime affect the worker?
Two foremost labour leaders – Adams Oshiomhole and Joe Ajaero – differed sharply on the issue yesterday.
Ajaero, President of the Nigeria Labour Congress (NLC), said the tax laws, which took effect from January 1, propose the taxation of minimum wage earners.
However, Senator Oshiomhole, a former NLC president, insisted that minimum wage earners are exempt from taxation.
They spoke yesterday at the presentation of a book: “Organise, don’t agonise,” written by the first President of the NLC, Alhaji Hassan Sunmonu, to mark his 85th birthday.
Sunmonu served as the pioneer president of the NLC between 1978 and 1984, following the consolidation of the different labour movements.
Former President Olusegun Obasanjo chaired the event, while the Catholic Bishop of Sokoto, Mathew Hassan Kukah, reviewed the book.
Ajaero accused the Federal Government of scheming labour out of the process that culminated in the passage of the tax bills.
He said: “A tax law that imposes a heavy burden on workers and the poor is not progressive.
“A tax policy that taxes the national minimum wage is not fair.
“A tax that taxes the masses who are living in excruciating poverty is regressive.
“That was why we were excluded from the committee, and that was why our warnings went unheeded.”
The NLC president also urged the government to fully constitute the National Pension Commission (PenCom) Board and to immediately address Nigerians’ concerns over the tax laws, instead of what he described as the “present grandstanding by Mr Taiwo Oyedele of the Presidential Tax Committee and Zacch Adedeji of the Nigeria Revenue Service.”
Both Oyedele and Adedeji have, at several fora, explained that the tax laws exempt minimum wage earners from payment.
Echoing them, Oshiomhole, who spoke after Ajaero, chided the labour leader for making what he described as wrong claims.
He said: “The minimum wage earner is exempted from tax.
“So, when you (Ajaero) say minimum wage is being taxed, they will see that as a loophole.
“The tax laws are subject to amendment in the same way you negotiated a benchmark for the minimum wage.”
He added: “The lesson of Sunmonu is this: if it is wrong, fight it. If you know it (the tax law) is wrong, fight it. Do not lament it.
“On the floor of the Senate, I always say I have not come to Abuja to lament imperfection.
“What the people need is not our tears or emotional statements.
“Those who do bad things don’t do them out of ignorance, and those who enjoy a particular order will not give it up.
“You have to fight them to give up.”
Ajaero also urged the government to prepare for an early review of the minimum wage, saying: “Let the government move from agonising the people to organising with them.
“Let us build a democracy that delivers not just political freedom but economic liberation, where the wealth of the nation serves the welfare of its people.
“On this note, we once again call on the Federal Government to urgently address the wages of Nigerian workers before next year’s statutory negotiation of the national minimum wage.”
He also alluded to the controversy over alleged alterations in the tax laws.
“Insisting on going ahead is akin to muddling along in confusion and darkness, since we do not know which one is truly the law.
“Continuing with this is a dangerous pattern that seriously undermines the tax administration itself and indeed our democracy,” he said.
Following the outcry, especially by the opposition, the National Assembly has released the Certified True Copy (CTC) of the tax bills as passed by it and forwarded for presidential assent.
The author of the book urged trade union leaders to be upright in their dealings.
He said: “Leaders, you are warned. You have the choice to stay clean and abide by the grace of God or join politicians to do the wrong thing, disgrace yourselves and incur the wrath of God.
“Let us stay the course in the interest of the future of our children and grandchildren.
“The faith Nigerian workers have in us is a sacred trust that we should not betray.
“If we betray it here and thereafter, the judgments are there. Let us stay the course.”
Obasanjo recalled that he consolidated the labour movements during his tenure as military head of state between 1976 and 1979 to prevent labour unions from being sponsored by foreign agents.
He said while one movement was sponsored by the Russian secret service (KGB), another was sponsored by the United States Central Intelligence Agency (CIA).
“I needed for Nigeria a Nigerian labour union, organised by Nigerians, controlled by Nigerians and financed by Nigerians.
“So, I decided there was going to be a labour union reform, and I think the man I put in charge was Justice Adebiyi,” Obasanjo said.
He explained that Justice Adebiyi was appointed to lead the reform process, which ultimately resulted in the establishment of the NLC, with Sunmonu emerging as its first elected leader.
“I don’t know how Sunmonu felt at that time, but I felt comfortable,” he said.
Obasanjo praised Sunmonu for strengthening labour leadership and expanding its influence across Africa and globally.
He also revealed that he wrote the foreword to the book, highlighting Sunmonu’s contributions to national development.
The event was attended by former Secretary to the Government of the Federation, Boss Mustapha; former Osun State Governor, Rauf Aregbesola; human rights lawyer, Femi Falana (SAN); Director-General of the Michael Imoudu National Institute for Labour Studies (MINILS), Issa Aremu; President of the Academic Staff Union of Universities, Chris Piwuna; former NLC President, Ayuba Wabba; ex-ECOWAS Executive Secretary, Mohamed Ibn Chambas, and other dignitaries.
Tax Laws have received the backing of students of higher institutions.
Apart from shelving their planned protest slated for January 14 against the laws, they will now be ambassadors, providing enlightenment to the public on the tax reform.
The students announced their new position yesterday in Abuja after a meeting of the National Association of Nigerian Students (NANS) Expanded National Executive Council (ENEC), along with other student union structures.
The meeting was briefed by the Chairman, Presidential Committee on Fiscal Policy and Tax Reform, Taiwo Oyedele.
NANS President Olushola Oladoja told reporters in Abuja that they changed their stance against the Tax Laws after gaining a deeper understanding of the issue.
He said: “Contrary to NANS prior belief, the student body has realised that the Laws do not target the poor.
“Instead, they strengthen social protection while ensuring that higher-income earners contribute more equitably to national revenue, preventing lopsidedness and unnecessary tax burdens on a few.”
Oladoja added that the students were convinced that the Laws provide for centralised revenue generation with a clear and transparent sharing formula across the Federal Government, state governments, and local governments.
He said NANS has consequently agreed to serve as ambassadors of public enlightenment, committed to educating Nigerians on the purpose, importance, and benefits of the Tax Reform Laws to boost citizens’ confidence and trust in the Federal Government during their implementation.
Oladoja, who read the communique of the ENEC of NANS in collaboration with all structural student bodies, said the forum provided a platform for tax experts from the Nigeria Revenue Service (NRS) to educate student leaders, clarify grey areas, and respond comprehensively to concerns expressed by the masses.
He explained that the ENEC of NANS was convened against the backdrop of widespread public concerns and national discourse surrounding the Tax Laws.
He recalled NANS’ earlier position on the laws, following public outcry arising from allegations of alterations by a member of the House of Representatives, Abdulsamad Dasuki, coupled with low public understanding.
Oladoja added that after extensive deliberations, presentations, and engagements, the ENEC of NANS resolved that the new laws are deliberate and well-intentioned statutes aimed at improving Nigeria’s economy, strengthening institutional frameworks for revenue generation, with provisions to protect low-income earners and vulnerable citizens.
Oyedele highlighted significant provisions that would directly benefit students and low-income earners.
He added that the laws aim to make more money available to state governments for investment in the development of education and infrastructure.
Oladoja announced the suspension of the proposed nationwide protest following the conclusion of the National Assembly’s investigation and clarifications made on the alleged alterations.
Despite opposition to and the ripples that attended the introduction of the Federal Government’s new tax laws, their implementation is now a foregone conclusion. All that needs to be on the radar at the moment is monitoring and evaluation to ascertain if their impacts match government’s promises and assuage the concerns of the citizenry, writes Group Business Editor, SIMEON EBULU.
Opposition to the newly introduced tax laws by President Bola Ahmed Tinubu came early. They faced their first litmus test at the meeting of the National Economic Council (NEC), chaired by the Vice-President, Kashim Shettima, with the 36 states’ governors in attendance. They had resolved at that early stage of deliberation to keep the laws in abeyance until, in their opinion, further consultation was done.
NEC felt that the bills were sent to the National Assembly without sufficient consultation with key stakeholders, and as such, broader consultation was required to ensure alignment and inclusiveness for the benefit of everyone.
Also, the proposition model for distributing Value Added Tax (VAT), which sought to change the existing formula to one based largely on derivation, was a major point of contention. Northern governors, in particular, argued that since corporations from which VAT proceeds are derived are located down south, it follows, so they posited, that VAT remittances would favour the region and disproportionately disadvantage the North, regardless of where products are consumed.
The Nigeria Labour Congress (NLC), in league with some lawmakers, also latched on to this, arguing that introducing new taxes or increasing existing ones would further burden the already struggling populace and small businesses. There were also concerns that some aspects of the bills, regarding the creation of a centralised Nigeria Revenue Service (NRS), to succeed the Federal Internal Revenue Service (FIRS), might disrupt the balance of fiscal federalism and potentially conflict with the Nigerian Constitution, requiring constitutional amendments.
NEC rose from that meeting with a call to the President to withdraw the tax bills to give room for more consultation. At that point, the Tax Bills were thought to be dead on arrival, but no, not with Mr President. An opposition that would not recede from its avowed stance on stalling the tax laws, also met with a President that would not relent in his resolve to ensure that the right thing was done.
Tinubu, rather than acceding to the NEC’s advice to withdraw the bills entirely, opted for the legislative process, including public hearings, as other avenues to address the concerns raised by NEC. That was the right thing to do. He turned the documents over to the people’s representatives, the National Assembly. The issues were eventually resolved through further dialogue and negotiation, leading to a revised VAT sharing formula that all parties, including the Northern Governors’ Forum, later endorsed.
The Chairman of the Presidential Fiscal Policy and Tax Reforms Committee and arrowhead of the tax reforms, Taiwo Oyedele, took on the gauntlet and eventually pushed through the passage of the laws, which were assented to by Mr President in June, 2025.
The Presidential Fiscal Policy and Tax Reforms Committee engaged different strategies, including media interviews and stakeholder consultations, among others, to clarify and showcase the benefits of the reforms, particularly for low-income earners and small businesses. He said the reforms will not increase the tax burden on the poor, and that VAT will not apply to essential items, such as food, health and education. He pointed out that the new tax regime will benefit small businesses through zero corporate tax rates.
Just as the dust was settling on the various controversies around the tax laws and the groundbreaking for the implementation was almost at hand, two issues suddenly popped up, the one around the allegation that the version of the laws passed by the National Assembly was different from what was gazetted, and the other, the alarm raised by Allen Onyema, the Chairman/CEO of Air Peace, that implementing the new Tax laws in their present format, would harm, or jeopardise airline businesses. The outcry further fueled and encouraged dissenting voices, with calls being made to the Presidency to investigate the allegation, and as well postpone the implementation of the new tax laws.
Onyema, who aired his views on Arise News Television, said the taxes which include Customs duties on imported aircraft, aircraft parts and engines, as well as VAT on tickets will further burden airlines with additional costs.
“There is VAT now on the importation of aircraft. So, if you buy an aircraft of $80 million, you are supposed to pay 7.5 per cent of $80 million. Do the mathematics, from money borrowed from the bank; interest rates are 30 to 35 per cent. So, you bring in spare parts, you pay 7.5 per cent on your spare parts. The airline industry cannot withstand additional burdens under the new tax laws. If we implement that tax reform, Nigerian airlines will go down in three months,” he warned.
Oyedele, however, allayed those fears, saying the new taxes were not designed to hinder businesses, let alone kill them. He said rather than increase air fares, the new tax laws will support Nigeria’s aviation industry and reduce costs. While acknowledging the challenges facing the aviation sector, particularly the burden of multiple taxes, levies and regulatory charges, Oyedele stressed “we are not responsible for the sector’s problems,” saying on the contrary, “the reforms are part of the solution, not the source of the problem.”
Presidential seal
In the midst of the discordant voices questioning the veracity of the new tax laws, the President’s voice sounded once again with an unmistakable air of finality, saying that implementing the new taxes across the board is a task that must be done. In an unprecedented move, intended to erase any doubts on his resolve about the tax matters, Tinubu personally issued a statement which, in all material particulars, put paid to any controversy on the tax issues and their admissibility into Nigeria’s tax codes, going forward.
Tinubu, in the statement, said the tax laws will continue as planned, adding, “these reforms are a once-in-a-generation opportunity to build a fair, competitive and robust fiscal foundation for our country.” For those who have misconstrued the intent of the taxes to be anti-enterprise, saying their implementation will kill businesses, the President said the tax laws, on the contrary is not designed to raise taxes, but to support a structural reset, drive harmonisation and protect dignity while strengthening the social contract. While calling for stakeholders’ support at this “implementation phase,” he assured all Nigerians that the Federal Government would continue to act in the overriding public interest to ensure a tax system that supports prosperity and shared responsibility.
Stakeholders’ endorsement
With the roll-out of the new tax laws, the Manufacturers’ Association of Nigeria (MAN) has thrown its weight behind the new tax regime. MAN Director-General Segun Ajayi-Kadir said manufacturers are optimistic that a more business-friendly tax regime is in the offing.
Manufacturers’ optimism is predicated on their belief that the President Bola Ahmed Tinubu administration’s tax reforms would put an end to multiple and sometimes illegal taxes by various tiers of government.
This is on the strength of tax harmonisation promised by the reforms, which streamlines revenue administration and eliminates multiple, overlapping taxes by consolidating over a dozen federal tax laws into a single unified statute and encouraging states to do the same.
The Managing Director/CEO of Coleman Technical Industries Limited, manufacturers of wires and cables, George Onafowokan, however, said the biggest concern for businesses and investors with regard to the implementation of the new tax laws is misinformation.
“There is more misinformation than correct information. The government needs to do more to explain the tax laws and their benefits,” he said, while commending aspects of the reforms that provide relief for low-income earners.
Onafowokan warned that poor communication and immediate enforcement without sufficient transition time could distort markets, recalling how misinformation recently triggered significant losses in the stock market.
He also clarified that withholding tax on savings interest remains a final tax, dismissing fears of double taxation and urged authorities to intensify public education on the reforms.
Onafowokan’s hint on ‘sufficient transition time’ aligns with suggestions by some manufacturers that there should be a brief pause in implementation to allow for wider stakeholder engagement and clear guidelines to ensure better compliance and acceptance.
Despite manufacturers’ support, the implementation of the new tax regime hasn’t been without some controversies, one of which is the alleged discrepancies between the laws passed by the National Assembly and the gazetted versions.
This led to calls for the suspension of its implementation by other groups and some lawmakers. Nonetheless, the Federal Government has kick- started the process, as the President affirmed, there’s “no going back.”
The Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Oyedele, insisted there was no stopping the process.
The President, Bank Customers’ Association of Nigeria (BCAN), Dr Uju Ogubunka, said taxation should be based on income. He said as a finance expert and consultant, transactions that are not based on income should not be taxed, saying he expects the government to properly educate the people on what should be taxed, to avoid fears and panic that would lead many businesses to operate underground and report nothing.
“I think that across the world, what is usually taxed as income and not turnover. If you push businesses into believing that a lot of their resources will be taxed, they are likely to operate underground and ensure that not much of their funds pass through the banks.”
He said that tax authorities should educate retirees on what the tax policy entails, whether retirement funds should be taxed, unless there are proceeds from established businesses.
Ogubunka said the Central Bank of Nigeria (CBN) has spent years pushing for financial inclusion, and a badly implemented tax policy could hurt such achievements. “The tax authorities should look out for justifiable income and tax it. They cannot tax anything that is not earned or capital for businesses. Once these lines are not crossed, I see business compliance rising and the economy better for it,” adding that a badly implemented tax policy could reduce businesses’ transactions in banks, and that will not impact positively on the economy.
Also, the President/Chairman of Council of the Chartered Institute of Taxation of Nigeria (CITN), Innocent Ohagwa, said as the pre-eminent tax institution in Nigeria, CITN’s concern is in ensuring that due legislative process is observed and not breached, especially in respect of an important subject matter as taxation, which thrives on exactitude of tax legislation.
He said that the integrity of the tax process will command respect and enhance compliance, pointing out that no effort should be spared in getting it right from the onset to avoid overwhelming challenges in the future.
He said tax authorities should strive to ensure that any observed discrepancies, whether arising from procedural lapses, administrative errors, or unauthorised alterations in the tax policy, are corrected. According to him, the Nigerian constitution and established parliamentary practice require that laws assented to and gazetted must be identical to those duly passed by the legislature and that any post-passage changes must follow constitutionally recognised procedures. He warned that deviation from this standard, intentional or otherwise, compromises the rule of law, separation of powers, predictability and stability in the tax system.
Ohagwa insisted that the integrity of the legislative process is fundamental to the rule of law, good governance, and public confidence in democratic institutions. In his words: “Tax legislation, in particular, requires the highest level of accuracy, transparency, and procedural fidelity due to its far-reaching implications for government revenue, businesses, professionals and citizens,” he said.
Expressing support for the new tax regime, the President of Nigeria Institution of Estate Surveyors and Valuers (NIESV), Dr Victor Alonge, said the relief in the tax composition is not only a plus for the real estate sector, but also, in his opinion, one of the most beneficial laws for Nigerian workers. He said “about 90 per cent of workers will not be paying taxes and small businesses are also exempted from taxation in the new tax regime,” stating that the relief will lead to higher disposable income which can be invested in real estate. Residential properties are not expected to pay VAT but construction companies are expected to pay. If properly managed, he said, the impact of taxation on building materials will not be pushed to subscribers.
The CEO of Housing Development Advocacy Network (HDAN), Festus Adebayo, said that one of the likely impacts of the new tax regime, among others, is Rent Relief.
He said: “Tenants can claim up to N200, 000 or 20 per cent of annual rent as tax relief, potentially increasing demand for rental properties.”
He said a 1.5 per cent tax on high-value homes of about N500 million and above may discourage luxury property investments, potentially shifting focus to mid-range housing. Increased Capital Gains Tax (CGT) rates ranging from 30 per cent for companies and 15-25 per cent for individuals may affect property valuations and investment decisions,” he said.
He said there will be VAT exemptions for residential properties, while commercial properties and construction services are still subject to 7.5 percent VAT. Adebayo, however, said that there will be withholding tax exemptions for Real Estate Investment Trust (REIT) aimed at promoting investment in the sector.
Expectedly, the new tax regime aims to boost revenue, promote transparency, and encourage affordable housing. It will slow luxury sales and impact investor confidence.
Chief Operating Officer, QShelter, Adegbenga Alamu, said the new tax regime will have no negative effect on real estate. He said for Home Buyers, the interest is allowable as deduction before taxation, and it encourages people to buy from their savings.
The capital market is expectant as the new tax laws take off. Market pundits expect harmonisation of taxes, clarity and certain reliefs in the new tax laws to positively impact corporate earnings, and thus the attractiveness and liquidity of the market.
However, there were concerns about the possible negative effect of the introduction of what stakeholders described as excessive Capital Gains Tax (CGT).
Managing Director, High Cap Securities, David Adonri, said while investors were not averse to overdue tax reform, the issue of Capital Gains Tax (CGT) has continued to fuel anxiety in the capital market.
He said: “Soon after the enactment of the new Tax Act, equities reacted with a massive selloff due to the reintroduction of CGT at a massive rate of 30 per cent for transactions above N150 million. The selloffs stopped when the Minister of Finance promised to review the policy.” However, now that we are approaching implementation without concrete action, nobody can predict the reaction of investors moving forward.”
A Senior Investment Banker and Fellow of Chartered Institute of Stockbrokers (CIS), Abiodun Adeniran, also agreed that CGT was a major concern, but expressed optimism that the engagement between market stakeholders and the government would find a positive balance.
“The specific capital market concern is on the CGT, and there are ongoing efforts in collaboration with the relevant authorities on how to mitigate the effects,” Adeniran said.
Like in other sectors, operators in the Aviation Industry have expressed worry on how the implementation of the new tax law will affect air travel and other allied aviation services.
Pilot and Aviation Economist, Captain Samuel Caulcrick and the Chief Financial Officer (CFO) of Aero Contractors, Charles Grant, opined that the new tax regime could plunge the air transport into further crisis, akin to similar fears expressed by the Chairman/CEO of Air Peace Airline, Allen Onyema.
The airline chiefs have urged the Federal Government to deepen engagement with players across the economic spectrum, so as to achieve seamless and effective implementation of the new tax.
Caulcrick warned that the economy, including the aviation ecosystem, could be negatively impacted and nosedive until everyone paid their fair share of taxes to the right coffers.
He insisted that a market economy without a robust tax system lacked the main ingredient to prevent market distortions.
Grant on his part, observed that excessive taxation and policy inconsistencies, are crippling Nigerian airlines and threatening the sector’s capacity to contribute meaningfully to the economy.
He insisted that the sector could not survive under the present newly introduced tax template.
Grant said the government should see aviation as a platform for commerce, trade and integration, rather than a luxury to be slammed with high-end tax.
“One cannot tax what doesn’t survive. You have to enable it before you extract,” he said.
Grant said domestic passenger traffic had dropped by about three per cent since 2022, despite increasing travel demand in a country of over 200 million people.
He attributed this decline to multiple taxes and rising operational costs, which he declared had pushed ticket prices beyond the reach of average travellers.
He explained that airlines currently pay several levies, including Ticket Sales Charge (TSC), Passenger Service Charge (PSC), Value Added Tax (VAT), Customs Duties, navigation and over flight fees and ground-handling charges.
These costs, he stated, make it difficult for the operators to remain profitable, or expand their route networks. “Passengers are being priced out, while airlines operate on razor-thin margins. The outcome is fewer flights, grounded aircraft, and job losses across the value chain.”
He appealed to the government to restore VAT exemptions on aviation inputs, enforce Customs waivers and eliminate overlapping taxes that make air travel more expensive in Nigeria than in most African markets.
The President of Association of Micro-Entrepreneurs of Nigeria (AMEN), Prince Savior Iche, raised a red flag over the potential economic fallout of the federal government’s newly signed tax reforms. Speaking on the implications of the Nigeria Tax Act 2025, Iche warned that the implementation of the new fiscal policies is set to trigger a significant hike in the prices of essential commodities, further squeezing the disposable income of average Nigerians.
The AMEN leader expressed deep concern that the legislative changes would exacerbate the existing high cost of living, which many households are already struggling to manage. He pointed to the lingering effects of previous fiscal adjustments, specifically the Value Added Tax (VAT) increase implemented during the administration of former President Muhammadu Buhari, as a primary source of the current economic hardship. According to Iche, many Nigerians are already “paying through their nose” due to the cumulative weight of various taxes and levies.
A significant point of contention for the micro-entrepreneurial body is the impact of transaction-based taxes. Iche highlighted the burden of daily charges on bank transactions, noting that the frequency and volume of these deductions often go unnoticed by policymakers but represent a substantial drain on the capital of small business owners and the savings of ordinary citizens. He questioned whether the government truly appreciates the extent of the financial strain these incremental charges place on the public.
“Everything will escalate and increase the cost of living,” Iche stated, emphasising that the new tax regime could not have come at a worse time. He argued that instead of providing relief, the upcoming changes might lead to a price surge across various sectors, as businesses seek to offset their increased tax liabilities by passing the costs onto consumers.
Asks Nigerians to disregard other documents not certified by NASS
States, LGs set for more revenue as new tax regime takes off’
The House of Representatives has released to the public certified true copies of the four tax reform Acts passed by the National Assembly and signed by President Bola Ahmed Tinubu as part of efforts to douse growing tension over allegations that the laws were altered.
In directing the release of the certified Acts, Speaker Abbas reassured Nigerians that the National Assembly remains an institution of records, guided by clearly defined rules, precedents, archival systems, and verification processes that safeguard the authenticity of every law enacted.
Spokesman of the House, Akintunde Rotimi said in a statement last night that the original copy of the law passed and signed by the President has been made public while hard copies have been printed and circulated to members.
The statement reads: “The House of Representatives, under the leadership of the Speaker, Hon. Abbas Tajudeen has released the four tax reform Acts duly signed into law by His Excellency, Bola Ahmed Tinubu, GCFR, President and Commander-in-Chief of the Armed Forces, Federal Republic of Nigeria, to Nigerians for public record, verification, and reference.
“Speaker Abbas, in concert with the Senate President, H.E. Senator Godswill Akpabio, GCON, directed the immediate release of the Certified True Copies (CTCs) of the Acts, including the endorsement and assent pages signed by the President, following public concerns and allegations regarding purported alterations and the circulation of unauthorised and misleading versions of the laws.
“This decisive intervention underscores Speaker Abbas’ long-standing commitment to transparency, legislative integrity, and public confidence in the law-making process.
“Indeed, the attention of the House was drawn to the existence of inconsistent versions of the tax laws in circulation after a vigilant Honourable Member identified discrepancies, raised the alarm, and formally reported the matter to the House on a point of privilege. Acting promptly, the Speaker ordered an internal verification and the immediate public release of the certified Acts to eliminate doubt, restore clarity, and protect the sanctity of the legislative record.
“From the initiation of the tax reform process through extensive stakeholder consultations, committee scrutiny, rigorous clause-by-clause consideration, robust plenary debates, and eventual passage, Speaker Abbas has provided firm and steady leadership to ensure that the reforms were evidence-based, inclusive, and aligned with Nigeria’s fiscal realities and development priorities.
“Throughout the process, Speaker Abbas consistently emphasised that tax reform must be anchored on clarity, fairness, and strict adherence to constitutional and parliamentary procedure.
“The four Acts released are: the Nigeria Tax Act, 2025, The Nigeria Tax Administration Act, 2025, The National Revenue Service (Establishment) Act, 2025 and The Joint Revenue Board (Establishment) Act, 2025
“These landmark legislations constitute the backbone of Nigeria’s contemporary tax reform architecture, designed to modernise revenue administration, improve compliance, reduce inefficiencies, eliminate duplications, and strengthen fiscal coordination across the federation.”
Rotimi quoted the Speaker as saying that “The National Assembly is an institution built on records, procedure, and institutional memory. Every Bill, every amendment, and every Act follows a traceable constitutional and parliamentary pathway. Once a law is passed and assented to, its integrity is preserved through certification and custody by the legislature. There is no ambiguity about what constitutes the law.
“Speaker Abbas further emphasised that the House would remain vigilant and proactive in defending the integrity of its work, clarifying that the only authentic and authoritative versions of the four tax Acts are those certified and released by the National Assembly.
“Members of the public, institutions, professionals, and stakeholders are therefore advised to disregard and discountenance any other documents or versions in circulation that are not certified by the National Assembly, as such materials do not form part of the official legislative record.
“Consequently, the Clerk to the National Assembly has concluded the process of aligning the Acts – duly passed, assented to, and certified – with the Federal Government Printing Press to ensure accuracy, conformity, and uniformity.
“Hard copies of the certified tax Acts have also been produced and are being circulated to all Honourable Members and Distinguished Senators, and made available to the public, to ensure institutional clarity, uniform reference, and legislative certainty.
“The House affirms that the work of the Ad-Hoc Committee, chaired by Hon. Muktar Aliyu Betara continues, in line with its mandate, to determine the circumstances surrounding the circulation of unauthorised versions of the tax Acts and to recommend measures that will prevent a recurrence and preserve the authenticity and reliability of parliamentary records.
“The House of Representatives, under the leadership of Hon. Abbas Tajudeen, Ph.D., GCON, reaffirms its unwavering commitment to constitutionalism, the rule of law, transparency, and accountable governance. The House will continue to strengthen internal controls, uphold institutional discipline, and protect the integrity of Nigeria’s legislative process in the collective interest of the Nigerian people.”
States, LGs set for more revenue as new tax regime takes off’
Meanwhile, a major shift is set to occur in the sharing of revenue from the Federation Accounts from next month when January revenue inflows will be shared, with the 36 states and the 774 local governments projected to receive significantly higher statutory allocations under the new tax regime.
The policy framework, which restructures how key tax components are distributed, will redirect a substantial portion of federally collected taxes to subnational governments.
Under the new dispensation, all revenues accruing from Pay As You Earn and Personal Income Tax will go entirely to the states.
Besides, 90 percent of Value Added Tax collections will be channeled to the subnational tier, with 55 per cent going to state governments and the Federal Capital Territory, while 35 per cent will be allocated to local governments.
The sharing arrangement also provides that 26.7 per cent of Company Income Tax will now flow to the states, while another 26.7 per cent of Petroleum Profit Tax will follow the same pattern.
In addition, 20.6 per cent of both Company Income Tax and Petroleum Profit Tax will accrue to local governments under the control of the states.
The revenue base of the states and the local governments first expanded significantly following the removal of fuel subsidy by the Tinubu Administration soon after its installation in 2023 with the money saved from the subsidy removal going to the three tiers of government for development.
For instance, the three tiers of government shared N1.928 trillion last November up from the N786.161 billion they shared in the month immediately preceding the fuel subsidy removal.
Sources at the Federation Accounts Allocation Committee told The Nation that work would commence on adjusting the sharing templates to accommodate the new inflows once full activities resume after the new year festivities.
A senior official said the technical teams would begin “the reconfiguration of the sharing templates to reflect these new tax accruals.”
The official added that the shift represents one of the most significant fiscal developments for subnational governments in recent years.
“With the new tax regime, the state governments are going to receive more money from the tax components of the Federation Accounts than they did in 2025 and before,” the source told The Nation.
Beyond the quantum of funds, the Act introduces a revised methodology for distributing VAT revenues among states and local government councils.
Under the new arrangement, half of the VAT pool will be shared equally among all states and councils. Twenty per cent will be distributed based on population size within each jurisdiction, while the remaining 30 per cent will be allocated in proportion to actual consumption levels recorded across the states.
However, while the additional revenue streams are expected to strengthen subnational finances, the new tax administration framework also introduces stricter compliance requirements and penalties.
The Nigeria Tax Administration Act 2025 spells out a wide range of sanctions under Chapter Four, covering general tax offences and those specifically applicable to petroleum sector operations.
Under the general provisions, taxpayers who fail to register with the relevant tax authority or obtain a Taxpayer Identification Number commit an offence. The Act also provides sanctions for failure to file tax returns within the stipulated time frame, as well as for failure to maintain proper accounting records as required by law.
The provisions extend to obligations relating to tax deduction at source.
Failure to deduct taxes such as PAYE or Withholding Tax when required by law constitutes an offence, just as failure to remit taxes already deducted to the appropriate authority attracts penalties.
Other offences include obstruction of authorised officers in the course of duty, refusal to grant access to premises for tax purposes, making false or fictitious claims for tax or VAT refunds, impersonation of tax officials, or attempts to induce officers to neglect their duties. Fraud involving tax stamps or related documents is also covered, while failure to grant access for the deployment of approved tax technology or fiscalisation systems, particularly in relation to VAT, is punishable under the Act.
A general penalty applies in cases where no specific sanction is prescribed.
For companies operating in upstream and midstream petroleum activities, the Act introduces sector-specific obligations. These include filing estimated and actual returns within due dates, prompt payment of petroleum-related taxes, and the settlement of royalties on petroleum or mineral resources.
Persistent non-compliance may, in serious circumstances, lead to recommendations for the revocation of operating licenses or leases.
The legislation also grants tax authorities enhanced administrative enforcement powers including imposition of fixed penalties and interest on unpaid taxes, as well as the power to distrain — enabling the seizure and sale of a taxpayer’s goods, chattels or land to recover outstanding liabilities.
However, Taiwo Oyedele, Chairman of the Presidential Fiscal Policy and Tax Reform Committee, stated that these measures would only be applied following the completion of the appropriate legal processes.
The Act further allows authorities to compound certain offences, meaning they may be settled administratively rather than through full prosecution, while retaining the power to prosecute offenders before a court of competent jurisdiction where necessary.
With the implementation phase now approaching, officials believe the combination of higher tax-based accruals and stricter compliance measures will reshape fiscal relations within the federation, placing greater financial responsibility and opportunity in the hands of state and local governments.
Two main reasons explain the ongoing bickering over Nigeria’s new tax laws promulgated last year after intensive and bad-tempered legislative and political processes. One, few people like to pay tax. The new tax laws make evasion difficult. Two, and closely leashed to the first, financial dealings previously conducted largely outside prying tax eyes will also become difficult to hide. Indeed, before the four bills were transmitted to President Bola Tinubu mid-June, they had inspired animated discussions and disagreements among the political class, and sometimes across regional lines. Even the National Economic Council (NEC) was not left out of the turbulence, as their consideration of the bills reportedly led to sharp disagreement among officials at the highest echelons of government. But once transmitted, the president wasted no time in appending his signature on June 26.
However, some six months later, just as the January 1, 2026 implementation date loomed, a carefully orchestrated and fiercely politicised campaign to discredit the tax laws again took centre stage. The reason for the new campaign was the alleged alterations made to the laws by unnamed persons who inserted themselves between the legislature and the presidency. The National Assembly has promised to open to the public the bills they transmitted to the president as well as the gazetted copy to enable a transparent comparison. By forging ahead, the presidency seems convinced that either there were no alterations or that whatever changes were made were nothing but correction of clerical errors, or that whatever changes were noticed merely rendered the laws more readable.
Significantly, those championing the suspension of the laws, most of them politicians campaigning under the aegis of the African Democratic Congress (ADC), have seized upon the fallacy that the laws would raise taxes, stymie economic recovery, and worsen hardship particularly among the poor. Knowing full well that most Nigerians have not read the laws nor, if they did, understand them, the campaigners recognise that crying wolf where there is none is always an effective tool of political mobilisation or social revolt. On top of this, no one wants to pay tax, regardless of whether the economy is stable or in recession. The adversarial campaigns have, however, achieved limited effectiveness, fortunately because it is coming outside the election year. Had the administration deferred its implementation to the end of the first quarter as some, including the opposition Peoples Democratic Party (PDP), advocated, the seemingly innocent act of procrastination would have restricted the government’s elbow room and risked weakening or derailing its political campaigns.
The four legs of the Tax Reform Act 2025 are (1) The Nigeria Tax Act (NTA) 2025; (2) The Nigeria Tax Administration Act (NTAA) 2025; (3) The Nigeria Revenue Service (Establishment) Act (NRSA) 2025; and (4) The Joint Revenue Board (Establishment) Act (JRBA) 2025. Opponents of the laws rarely bothered about the second, third and fourth laws. They have been particular about the first one, The Nigeria Tax Act 2025. It is understandable. This Act, as the Presidential Fiscal Policy and Tax Reform Committee put it, “is the core of the reform, consolidating over a dozen federal tax laws into a single, unified statute.” It argued further that “it replaces previous laws like the Companies Income Tax Act, Personal Income Tax Act, and Value Added Tax Act, among other outdated tax laws.” The NTA not only simplifies what was a complex and misaligned tax laws, it provides relief for low-income earners and small enterprises. Even as far as VAT is concerned, the new sharing formula benefits states (55%) and local governments (35%), much more than the federal government (10%). The resurgent campaigns have been based on nothing significant, as President Bola Tinubu put it, but on the unprovable supposition that the tax laws would raise taxes.
The president was more assertive in a statement he issued before the laws took effect. According to him: “These reforms are a once-in-a-generation opportunity to build a fair, competitive, and robust fiscal foundation for our country. The tax laws are not designed to raise taxes, but rather to support a structural reset, drive harmonisation, and protect dignity while strengthening the social contract…Our administration is aware of the public discourse surrounding alleged changes to some provisions of the recently enacted tax laws. No substantial issue has been established that warrants a disruption of the reform process.” Though President Tinubu rightly approved the implementation of the tax laws to begin on schedule, unwary members of the public were probably spooked by opposition falsehoods to see the tax laws as their worst nightmare. The reality is, however, different. In fact, the poor as well as small enterprises, not to talk of those who have nothing to hide, will be the chief beneficiaries.
There will of course be implementation hiccups at the beginning, but despite the stifling opposition to the reform, it should improve Nigeria’s fiscal space, ultimately enthrone tax equity, energise small and medium enterprises, and simplify the social contract by making the public more responsible and the government more accountable. What the administration should worry about is that the initial hiccups do not grow into a monster, engender gridlock, or empower detractors of the laws to make more sanctimonious noise.
The House of Representatives has released to the public certified true copies of the four tax reform Acts passed by the National Assembly and signed by President Bola Ahmed Tinubu as part of efforts to douse growing tension over allegations that the laws were altered.
In directing the release of the certified Acts, Speaker Abbas reassured Nigerians that the National Assembly remains an institution of records, guided by clearly defined rules, precedents, archival systems, and verification processes that safeguard the authenticity of every law enacted.
Spokesman of the House, Akintunde Rotimi said in a statement last night that the original copy of the law passed and signed by the President has been made public while hard copies have been printed and circulated to members.
The statement read, “The House of Representatives, under the leadership of the Speaker, Hon. Abbas Tajudeen has released the four tax reform Acts duly signed into law by His Excellency, Bola Ahmed Tinubu, GCFR, President and Commander-in-Chief of the Armed Forces, Federal Republic of Nigeria, to Nigerians for public record, verification, and reference.
“Speaker Abbas, in concert with the Senate President, H.E. Senator Godswill Akpabio, GCON, directed the immediate release of the Certified True Copies (CTCs) of the Acts, including the endorsement and assent pages signed by the President, following public concerns and allegations regarding purported alterations and the circulation of unauthorised and misleading versions of the laws.
“This decisive intervention underscores Speaker Abbas’ long-standing commitment to transparency, legislative integrity, and public confidence in the law-making process.
“Indeed, the attention of the House was drawn to the existence of inconsistent versions of the tax laws in circulation after a vigilant Honourable Member identified discrepancies, raised the alarm, and formally reported the matter to the House on a point of privilege. Acting promptly, the Speaker ordered an internal verification and the immediate public release of the certified Acts to eliminate doubt, restore clarity, and protect the sanctity of the legislative record.
“From the initiation of the tax reform process through extensive stakeholder consultations, committee scrutiny, rigorous clause-by-clause consideration, robust plenary debates, and eventual passage, Speaker Abbas has provided firm and steady leadership to ensure that the reforms were evidence-based, inclusive, and aligned with Nigeria’s fiscal realities and development priorities.
“Throughout the process, Speaker Abbas consistently emphasised that tax reform must be anchored on clarity, fairness, and strict adherence to constitutional and parliamentary procedure.
“The four Acts released are: the Nigeria Tax Act, 2025, The Nigeria Tax Administration Act, 2025, The National Revenue Service (Establishment) Act, 2025 and The Joint Revenue Board (Establishment) Act, 2025
“These landmark legislations constitute the backbone of Nigeria’s contemporary tax reform architecture, designed to modernise revenue administration, improve compliance, reduce inefficiencies, eliminate duplications, and strengthen fiscal coordination across the federation.”
Rotimi quite the Speaker as saying that “The National Assembly is an institution built on records, procedure, and institutional memory. Every Bill, every amendment, and every Act follows a traceable constitutional and parliamentary pathway. Once a law is passed and assented to, its integrity is preserved through certification and custody by the legislature. There is no ambiguity about what constitutes the law.
“Speaker Abbas further emphasised that the House would remain vigilant and proactive in defending the integrity of its work, clarifying that the only authentic and authoritative versions of the four tax Acts are those certified and released by the National Assembly.
“Members of the public, institutions, professionals, and stakeholders are therefore advised to disregard and discountenance any other documents or versions in circulation that are not certified by the National Assembly, as such materials do not form part of the official legislative record.
“Consequently, the Clerk to the National Assembly has concluded the process of aligning the Acts – duly passed, assented to, and certified – with the Federal Government Printing Press to ensure accuracy, conformity, and uniformity.
“Hard copies of the certified tax Acts have also been produced and are being circulated to all Honourable Members and Distinguished Senators, and made available to the public, to ensure institutional clarity, uniform reference, and legislative certainty.
“The House affirms that the work of the Ad-Hoc Committee, chaired by Hon. Muktar Aliyu Betara continues, in line with its mandate, to determine the circumstances surrounding the circulation of unauthorised versions of the tax Acts and to recommend measures that will prevent a recurrence and preserve the authenticity and reliability of parliamentary records.
“The House of Representatives, under the leadership of Hon. Abbas Tajudeen, Ph.D., GCON, reaffirms its unwavering commitment to constitutionalism, the rule of law, transparency, and accountable governance. The House will continue to strengthen internal controls, uphold institutional discipline, and protect the integrity of Nigeria’s legislative process in the collective interest of the Nigerian people.”
